Hacker Newsnew | past | comments | ask | show | jobs | submitlogin

Worse even: the measuring stick for inflation suffers the same disease!

The most used measuring stick is the CPI, which (1) does not include e.g. assets, and (2) whose definition also changes significantly over time.

So it arguably does not even measure total inflation, and on top of that is not really the same metric every year.

So not only does your measuring stick shrink and expand, it is not even possible to measure by how much.



CPI inflation tracks the labor market very well. CPI inflation is about the actual working economy. Not some bubble fantasy numbers on some bank accounts. Yeah, everyone knows that the fantasy economy is growing. Everyone also knows that the real economy is not growing as fast as it should but you wouldn't know that if you didn't have CPI inflation.


>The most used measuring stick is the CPI, which (1) does not include e.g. assets

Why does this matter? If your cost of living stays the same but TSLA/BTC jump up 10x why should that count as inflation?


Simple: this state of affairs is only possible when consumer products and necessities are not scarce.

When scarcity comes into play, well, then it does not matter whether the dollars you are competing with come from the "real economy" or bitcoin. Prices will shoot up.




Consider applying for YC's Winter 2026 batch! Applications are open till Nov 10

Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: